The Shelby County Board on May 8 approved transferring $35,000 from LDCF funds to the county Social Security fund to cover an apparent shortfall in payroll-related Social Security payments through June.

Board members said the transfer is a temporary “patch” to prevent missed payments until the county receives its tax distribution in July and to buy time for staff to identify longer-term funding options. The motion passed 16–1, with Christy Matlock casting the lone no vote.

Board members described the transfer as necessary to avoid penalties and to ensure payroll obligations are met. One board member framed it as an immediate requirement, saying county offices cannot simply decline to make Social Security payments if an account lacks funds. The board directed staff to continue reviewing other funding sources and to return with additional options at a follow-up meeting in June.

Discussion at the meeting expanded into a debate about the county’s cash-management practices. Several board members urged the treasurer and staff to investigate investing some county funds in higher-yield options — specifically citing the Illinois Funds money-market vehicle, which speakers described as offering roughly 4.4 percent annualized returns — and asked whether some county cash could be moved to earn more interest. Multiple members said the county was “leaving money on the table” by holding large cash balances at low rates.

Board members asked the treasurer to appear at a future meeting and to explain current practices, any legal constraints, and whether the county’s investment policy could or should be adjusted. The board also directed staff to explore other internal accounts and reimbursements that might reduce the need to tap the LDCF funds again.

Public commenters at the meeting pressed the treasurer to explain why the county’s cash had not been invested more aggressively. A resident urged the board to require the treasurer to provide an explanation to taxpayers about investment decisions and whether those decisions complied with county policy.

How the transfer will affect the LDCF balance and whether the board will again need to use those funds in June was left open. Board members and staff said they will monitor balances with the clerk and treasurer, consult external advisors where appropriate, and report back at the next meeting.

Details recorded in the meeting show the transfer received roll-call approval with 16 ayes and one no (Matlock). The board’s discussion included references to the county’s investment policy and to the treasurer’s discretion over how funds are invested; the board requested additional information, including account balances and options for short-term investments, to limit future shortfalls.